Amazon.com (AMZN) is changing who runs Alexa a day after unveiling its first high-end Alexa tablets. Amazon confirmed to Reuters on October 9 that Daniel Rausch, vice president of Alexa and Echo for over three years, will step away from the unit in November.
Aidan Marcuss, who runs Fire TV, advertising and the Appstore, takes over. Rausch, a 17-year Amazon veteran, will return to a different role in devices and services in 2027. Amazon gave no further detail.
Alexa Has Never Made Money
Reuters reports that Alexa has lost money every year since its 2014 launch. Amazon’s fix is Alexa+, the generative AI version, which comes free with Prime ($139 a year) or costs $20 a month on its own. Bundling Alexa+ could support Prime sign-ups and retention, while standalone subscriptions provide another potential revenue source. Amazon does not separately disclose Alexa+’s financial contribution.
Subscription Growth Doesn’t Isolate Alexa’s Impact
Amazon’s subscription services revenue, which includes Prime membership fees, reached $13.73 billion in Q2 2026, up 12% from a year earlier. Over the last four quarters, it totaled $52.85 billion.
Growth peaked at 15% in Q1 2026 and slowed in Q2. These aggregate figures do not reveal whether Alexa+ is attracting or retaining Prime members.
The Question Amazon’s New Alexa Boss Inherits
Marcuss inherits the challenge of improving Alexa’s economics. Q4 results may offer management commentary on the new tablets and Alexa+, but overall subscription growth cannot establish their contribution or profitability.
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